9423328 UNITED STATES OF
AMERICA In the Matter of DOCKET NO. C-3708 COMPLAINT The Federal Trade Commission, having reason to believe that Victoria Bie doing business as Body Gold ("respondent") has violated the provisions of the Federal Trade Commission Act, and it appearing to the Commission that a proceeding by it in respect thereof would be in the public interest, alleges: PARAGRAPH ONE: Respondent Victoria Bie is the sole proprietor of Body Gold, a California company with its principal office or place of business located at 5930 La Jolla Hermosa, La Jolla, California 92037. Respondent formulates, directs, and controls the acts and practices of Body Gold, including the acts and practices alleged in this complaint. PARAGRAPH TWO: Respondent has advertised, offered for sale, sold, and distributed nutritional supplements, including, but not limited to, Chromium Picolinate (200 and 400 mcg), 24K with Chromium Picolinate, Daily Energy Formula (with Chromium Picolinate), and CitriGold (with Chromium Picolinate and Hydroxycitric Acid), collectively referred to as "Chromium Picolinate," as weight loss, fat loss, muscle enhancing and/or muscle building aids. Respondent has also advertised, offered for sale, sold and distributed the nutritional supplements L-Carnitine and Super Fat Burner Formula (containing L-Carnitine) as products that increase stamina or endurance, as well as aid in fat loss, weight loss and muscle toning. Each of respondent's nutritional supplements is a "food" and/or "drug" within the meaning of Sections 12 and 15 of the Federal Trade Commission Act, 15 U.S.C. §§ 52, 55. PARAGRAPH THREE: The acts and practices of respondent alleged in this complaint have been in or affecting commerce, as "commerce" is defined in Section 4 of the Federal Trade Commission Act, 15 U.S.C. § 44. PARAGRAPH FOUR: Respondent has disseminated or has caused to be disseminated advertisements and promotional materials for Chromium Picolinate, including but not necessarily limited to the attached Exhibits A-L. These advertisements and promotional materials contain the following statements: 1. "LOSE THE FAT BUT KEEP THE MUSCLE...Chromium Picolinate" (Exhibit A, pgs 1 and 2) 2. "There is now excellent scientific evidence that Chromium Picolinate can accelerate fat loss while helping to preserve or even increase muscle." (Exhibit A, pg 2) 3. "Another double blind-study [Evans'] was conducted in young off-season football players participating in a six-week weight-training program. The results were the same: more muscle, less fat with Chromium Picolinate. Chromium Picolinate more than doubled the net benefits of exercise alone." (Exhibit A, pg 2, col. 2) 4. "Stimulates Metabolism" (Exhibit A, pg 3, col. 1) 5. "Chromium Picolinate helps you to KEEP THE MUSCLE - and maintain or increase your metabolic rate - while LOSING THE FAT." (Exhibit B, pg 2, col 2) 6. "CHROMIUM PICOLINATE for LESS FAT AND MORE MUSCLE" (Exhibits F, I, J, and K) 7. "BODY GOLD will rev up your sluggish metabolism so that you'll 'burn' fat and calories the way Mother Nature intended." (Exhibit C, pg 1, col 2) 8. "In fact, because of the way BODY GOLD works, you may even find that your 'inch loss' is much more dramatic than your overall weight loss." (Exhibit C, pg 1, col 2) 9. "...[Chromium Picolinate] has been shown in numerous human and animal studies to reduce body fat while increasing muscle." (Exhibit B, pg 2, col 2) 10. "In the 1988-89 groundbreaking studies, people given 200 micrograms of Chromium Picolinate daily lost 22% of their body fat in six weeks!" (Exhibit D, pg 2, col 2) 11. "People given Chromium Picolinate lost 22% of their body fat in six weeks. Moderate exercise routines were followed: no dietary restrictions were imposed." (Exhibit F) 12. "22% LESS BODY FAT IN SIX WEEKS with Chromium Picolinate" (Exhibit G) 13. "22% LESS BODY FAT
14. "Numerous studies now show that supplemental CHROMIUM PICOLINATE promotes fat loss and increases lean muscle. 200 micrograms taken daily can offer dramatic fitness benefits." (Exhibits G, I, K) 15. "UNIVERSITY STUDIES identify CHROMIUM PICOLINATE as a 'trigger' for fat loss and lean muscle development." (Exhibit F) 16. "People taking Chromium Picolinate lost 22% of their body fat in only six weeks in a 1989 university study. Since then, numerous studies and millions of people have confirmed the exciting benefits of this safe, essential nutrient. Men and women across the country are talking about: LESS BODY FAT WEIGHT LOSS 'INCH LOSS' MORE ENERGY MORE LEAN MUSCLE GREATER STAMINA APPETITE CONTROL LESS DESIRE FOR SWEETS" (Exhibits I, J, K) 17. "These and subsequent published studies show that Chromium Picolinate:
(Exhibit D, pg 2, col 2) 18. "Medical studies show that Chromium Picolinate can also:
(Exhibit C, pg 1, col 1) 19. "The Fitness Essential * CHROMIUM PICOLINATE
(Exhibit D, pg 2) 20. "Recent clinical studies have used 400 micrograms of chromium to produce excellent weight-loss and fat-loss results. Your reward can be substantially greater fitness benefits when you DOUBLE THE CHROMIUM POWER. And Chromium Picolinate is perfectly safe at these reasonable, healthy amounts." (Exhibit E) 21. Testimonials from Exhibit L, Body Gold advertisement:
22. Testimonials from Exhibit D, Body Gold flier:
PARAGRAPH FIVE: Through the use of the statements contained in the advertisements and promotional materials referred to in PARAGRAPH FOUR, including but not necessarily limited to the advertisements and promotional materials attached as Exhibits A-L, respondent has represented, directly or by implication, that:
PARAGRAPH SIX: Through the use of the statements contained in the advertisements and promotional materials referred to in PARAGRAPH FOUR, including but not necessarily limited to the advertisements and promotional materials attached as Exhibits A-L, respondent has represented, directly or by implication, that at the time she made the representations set forth in PARAGRAPH FIVE, respondent possessed and relied upon a reasonable basis that substantiated such representations. PARAGRAPH SEVEN: In truth and in fact, at the time she made the representations set forth in PARAGRAPH FIVE, respondent did not possess and rely upon a reasonable basis that substantiated such representations. Therefore, the representation set forth in PARAGRAPH SIX was, and is, false and misleading. PARAGRAPH EIGHT: Through the use of the statements contained in the advertisements and promotional materials referred to in PARAGRAPH FOUR, including but not necessarily limited to the advertisements and promotional materials attached as Exhibits A-L, respondent has represented, directly or by implication, that scientific studies demonstrate that Chromium Picolinate:
PARAGRAPH NINE: In truth and in fact, scientific studies do not demonstrate that Chromium Picolinate:
Therefore the representations set forth in PARAGRAPH EIGHT were, and are, false and misleading. PARAGRAPH TEN: Respondent has disseminated or caused to be disseminated advertisements and promotional materials for L-Carnitine and Super Fat Burner Formula, including but not necessarily limited to the attached Exhibits D and L. These advertisements and promotional materials contain the following statements:
PARAGRAPH ELEVEN: Through the use of the statements contained in the advertisements and promotional materials referred to in PARAGRAPH TEN, including but not necessarily limited to the advertisements and promotional materials attached as Exhibits D and L, respondent has represented, directly or by implication, that:
PARAGRAPH TWELVE: Through the use of the statements contained in the advertisements and promotional materials referred to in PARAGRAPH TEN, including but not necessarily limited to the advertisements and promotional materials attached as Exhibits D and L, respondent has represented, directly or by implication, that at the time she made the representations set forth in PARAGRAPH ELEVEN, respondent possessed and relied upon a reasonable basis that substantiated such representations. PARAGRAPH THIRTEEN: In truth and in fact, at the time she made the representations set forth in PARAGRAPH ELEVEN, respondent did not possess and rely upon a reasonable basis that substantiated such representations. Therefore, the representation set forth in PARAGRAPH TWELVE was, and is, false and misleading. PARAGRAPH FOURTEEN: Respondent has disseminated or caused to be disseminated advertisements and promotional materials for CitriGold, including but not necessarily limited to, the attached Exhibit M. These advertisements and promotional materials contain the following statements:
PARAGRAPH FIFTEEN: Through the use of the statements contained in the advertisements and promotional materials referred to in PARAGRAPH FOURTEEN, including but not necessarily limited to the advertisement attached as Exhibit M, respondent has represented, directly or by implication, that:
PARAGRAPH SIXTEEN: Through the use of the statements contained in the advertisements and promotional materials referred to in PARAGRAPH FOURTEEN, including but not necessarily limited to the advertisement attached as Exhibit M, respondent has represented, directly or by implication, that at the time she made the representations set forth in PARAGRAPH FIFTEEN, respondent possessed and relied upon a reasonable basis that substantiated such representations. PARAGRAPH SEVENTEEN: In truth and in fact, at the time she made the representations set forth in PARAGRAPH FIFTEEN, respondent did not possess and rely upon a reasonable basis that substantiated such representations. Therefore, the representation set forth in PARAGRAPH SIXTEEN was, and is, false and misleading. PARAGRAPH EIGHTEEN: The acts and practices of respondent as alleged in this complaint constitute unfair or deceptive acts or practices and the making of false advertisements in or affecting commerce in violation of Sections 5(a) and 12 of the Federal Trade Commission Act. THEREFORE, the Federal Trade Commission this twenty-second day of January, 1997, has issued this complaint against respondent. By the Commission. SEAL: Benjamin I. Berman [Exhibits A-M attached to paper copies of complaint, but not available in electronic form.] |